1. Field of the Invention
Each year companies pay millions of dollars in avoidable Workers' Compensation costs and lost employee productivity due to lack of information, lack of standardized processes to analyze and manage the losses, absence of transitional duty programs to return workers to productive positions, unrecognized fraudulent claims, the amount of time required to implement and train company staff to manage the myriad elements of a successful cost reduction program, etc. Most companies' Workers' Compensation costs can be reduced by 20%-50% with the implementation of an efficient and effective Workers' Compensation Program. Yet most companies do not have the knowledge and resources to do so, and hiring consultants to review and train staff is very expensive. The method and system of the present invention provides an online centralized source to implement, analyze and manage a workers compensation program by any employer. In addition, the method provides scalability of resources thus enabling even small employers to implement a program by selecting control elements of the method through the online centralized source.
Never before has there been a comprehensive computer based online Workers' Compensation Cost Containment Program like the system provided in the present invention and implemented in a preferred embodiment at the website, www.WorkersCompKit.com. This new method provides users the necessary tools to self implement and manage a workers' compensation cost containment program, or have a third party manage the program, as is common in the industry. An advantage of the present invention is that if a third party administrates the company's workers compensation program, the company workers compensation program manager can use the centralized web enabled processes of the present invention to monitor and manage the effectiveness of the third party administrator, which thus provides quality control by the company never before possible.
To ensure successful implementation the website provides a centralized location for all users to access workers' compensation program background information, assessment tools, benchmarks, customized recommendations, a step-by-step improvement plan, and the necessary training tools for the user. In the past, websites have provided information about workers' compensation, however, it was related to safety or state laws and regulations, not cost containment methodology. This is the first comprehensive online site that provides management methods for analysis and quality control from inception through implementation and training.
2. Description of Related Art
Various attempts have been made to develop ways to deliver workers compensation management services. A common method still in extensive use is to have a consultant travel to the employer and spend many days observing employment practices, taking and recording notes, and then returning to the office to compile those notes into a massive report. The report would then go back and forth for revisions until the assessment report was perfect. This process would take approximately nine to twelve months just to get to implementation with the project often stalling at the assessment phase with the threat of actual implementation being weakened because the project had lost momentum or run out of money or business decision changed the focus because so much time had elapsed. Too much time was spent on assessment taking the focus off the real purpose which was to identify strengths and weaknesses in the program and build an action plan to create a strong injury management implementation program. Instead, the focus was on providing the client with a perfect report.
Www.empaq.org is a member focused initiative established by the Council on Employee Health and Productivity (CEHP) for program evaluation with the goal of measuring and enhancing organizational health. EMPAQ® provides standardized metrics and program assessment tools that assist employers and their suppliers in the management of health and productivity management programs for four main benefit program types—workers' compensation, short and long-term disability and family medical leave. However, this website differs from the method of the present invention in that Empaq does not assess and quantify work place practices (it only measures data), and does not offer management solutions to improve the program.
The software application described at www.comperaser.com is a claims management software application focusing on pre-loss (safety) training and claims management. In comparison to the method of the present invention it does not contain the Best Practice Assessment nor Scoring summaries. Similarly, the referenced patent application Uninsured Coast Estimation System and Method, Pub. No. 2007/0021985, is limited to a processing system for measuring uninsured costs.
The Institute of Workers Compensation Advisors, whose website url is as follows, www.workcompprofessionals.com, trains and certifies professional insurance agents to help companies identify and fight overcharges caused by mistakes rampant in the complex and confusing Workers' Compensation system. It does not provide the processes of the present invention.
Comperaser and the Institute of Workers Compensation Advisors are trying to lower workers comp costs but these programs do not contain an automated, standardized assessment scoring system based on best practices. Neither do they contain complete on-line training programs nor easy to use benchmarking systems of the present invention into which an employer can input simple data and quickly develop an easy-to-read online quantitative report comparing the company to national averages. This invention allows management to make quick, correct decisions based on quantifiable indices presented as a score. This allows a large multi-site employer to assess workers compensation performance in many locations simultaneously for review by senior management. This can take place within a few minutes compared to weeks and months using the standard method in the industry of hiring a consultant for onsite reviews and training.